> The agency defined AI as "a machine-based system that can, for a given set of human-defined objectives, make predictions, recommendations, or decisions influencing real or virtual environments," and warns insurers against using an "algorithm that determines coverage based on a larger data set, instead of the individual patient's medical history, the physician’s recommendations, or clinical notes."

this seems reasonable. my initial thought was that insurers already use statistical models to determine profitability, so this ban on "AI" (aka large statistical model) could potentially undermine the fundamental groundwork of an insurance company, but it sounds like we're just disallowing the use of a recommendation system. I feel that this is a reasonable thing to do across domains, at least for now, since I believe that most humans don't understand how "AI" works, and might forget to use their own (better) judgment for a decision.